Rankvale European Property Partners, a UK-based Europe-wide investment firm, has acquired the Seidnitz Centre in Dresden via the acquisition of shares in a limited partnership for €95 million ($127 million). The shares represent an initial yield of 6.8% pa.
The acquisition is the third and largest investment the firm has completed in the last month, following the acquisition of two new build shopping centers in Bamberg, north of Nuremberg, and Berlin for €47.5 million.
The Seidnitz Centre has 26,756 sq m of retail and leisure space at lower ground and ground floor level, 7,360 sq m of office accommodation in four separate units above the center, and an adjoining four story car park with direct walkway access into the prime ground floor retail areas.
All of the retail space and office accommodation is leased to Centre Entwickleungs-und Verwaltungs a wholly owned subsidiary of the Ava/Edeka Group which controls 183 Marktkauf self-service department stores, 148 DIY stores and 90 Krane optical stores across Germany. The center is anchored by CEV brands MarktKauf Self Service Department Store and MarktKauf Beverage Market, alongside 39 other retail sub-tenants which include national brands such as MediMax, AWG Fashion, Deichmann Shoes, Vogele, Zooladen, Mister & Lady and DM Drugstore.
The office accommodation is fully let with over 30 percent of the space rented as a specialist medical center for the local Seidnitz residents. The remaining office space is leased to local professional firms and a call center.
In the past three years the firm has completed transactions in France, Germany, Switzerland and Austria totaling more than €800 million.